In a major announcement, Finance Minister Nirmala Sitharamn on Wednesday stated that the definition of Micro, Small & Medium Enterprises (MSMEs) will now be revised since their low threshold was holding them back from growing. While revealing that there was a long-pending demand for revision in the definition of MSMEs, Sitharaman announced that the investment limit for the MSMEs will be revised upwards, and additional criteria of turnover will also be introduced.
Along with this, the distinction between the manufacturing and service sector will be eliminated and necessary amendments to laws will be brought. To provide stressed MSMEs with equity support, the Government will also facilitate the provision of Rs. 20,000 crore as subordinate debt under which two lakh MSMEs are likely to benefit.
#LIVE | Definition of MSMEs has been revised, investment limit to be revised upwards, additional criteria of turnover also being introduced: Finance Minister Nirmala Sitharaman— Republic (@republic) May 13, 2020
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#BREAKING | Definition of MSMEs gets a revision, Investment limit to be revised upwards, additional criteria of turnover also being introduced— Republic (@republic) May 13, 2020
Watch here- https://t.co/RZHKU3wOei pic.twitter.com/If2KoOISJ7